Rio Tinto Plc · LSE:RIO
Rio Tinto — Shareholder Meeting (April 2014)
26 slides from Rio Tinto's shareholder meeting presentation, Apr 16, 2014
Slide 1: 2014 Annual general meeting
15 April 2014 For personal use only 2014 Annual general meeting
Slide 2: Jan du Plessis, Chairman
15 April 2014 For personal use only Jan du Plessis Chairman
Slide 3: Greater value for shareholders: three key objectives
For personal use only Greater Three key objectives: value for Improve operating and shareholders 1 financial performance 2 Strengthen the balance sheet 3 Deliver results Iron ore, Pilbara, Australia ©2014, Rio Tinto, All Rights Reserved
Slide 4: Strong financial and operational performance
For personal use only Strong financial Underlying earnings of US$10.2 billion and operational performance Cash flows from operations up by 22% Net earnings of US$3.7 billion ©2014, Rio Tinto, All Rights Reserved
Slide 5: Disciplined capital allocation
For personal use only Disciplined capital Disciplined investment allocation Strengthening our balance sheet Returning cash to shareholders ©2014, Rio Tinto, All Rights Reserved
Slide 6: Strong balance sheet and returns to shareholders
For personal use only Strong balance Divestments of US$3.5 billion sheet and returns to shareholders Net debt reduced to US$18.1 billion Retained single A credit rating 15% increase to the full-year dividend ©2014, Rio Tinto, All Rights Reserved
Slide 7: Activities of the board
For personal use only Activities of the board Cape Lambert B, Pilbara, Australia ©2014, Rio Tinto, All Rights Reserved
Slide 8: Consistent strategy
For personal use only Consistent Strategy strategy Invest in and operate long-life, low-cost, expandable operations Strategy in the most attractive industry sectors Greater value for shareholders ©2014, Rio Tinto, All Rights Reserved
Slide 9: Managing through volatility
For personal use only Managing through volatility ©2014, Rio Tinto, All Rights Reserved
Slide 10: A responsible and trusted business
For personal use only A responsible 2013 total global and trusted tax contribution business US$7.5 billion A further US$1.9 billion of taxes paid on behalf of employees Pilbara, Australia ©2014, Rio Tinto, All Rights Reserved
Slide 11: Moving forward with confidence
For personal use only Moving forward with confidence Rio Tinto Marine Wakmatha ©2014, Rio Tinto, All Rights Reserved
Slide 12: Sam Walsh, Chief executive
15 April 2014 For personal use only Sam Walsh Chief executive
Slide 13: Delivering greater value for shareholders
For personal use only Delivering greater value for shareholders Weipa, Australia ©2014, Rio Tinto, All Rights Reserved
Slide 14: Safety
For personal use only Safety All injury frequency rates 2003-2013 Per 200,000 hours worked 2.0 1.8 1.6 1.4 1.2 1.0 0.8 0.6 0.4 0.2 0.0 La Granja Safety ’03 ’04 ’05 ’06 ’07 ’08 ’09 ’10 ’11 ’12 ’13 ©2014, Rio Tinto, All Rights Reserved
Slide 15: Strong financial and operational performance
For personal use only Strong financial Operating cash cost reduction of US$2.3 billion and operational performance Exploration and evaluation savings of US$1 billion Capital expenditure down 26% Record production in bauxite, thermal coal and iron ore ©2014, Rio Tinto, All Rights Reserved
Slide 16: Powering productivity
For personal use only Powering Record production Pilbara – productivity in iron ore, bauxite 53 autonomous and thermal coal trucks Hail Creek – new revenue stream from by-product 8% productivity improvement after Kennecott pit wall slide ©2014, Rio Tinto, All Rights Reserved
Slide 17: Major projects delivered
For personal use only Five major Pilbara iron ore AP60 aluminium projects expansion to 290 smelter produces million tonnes first hot metal completed ahead of schedule First shipment Argyle from Oyu Tolgoi underground copper-gold diamond mine mine starts production Kestrel mine extension adds 20 year
Slide 18: Delivering our commitments
For personal use only Delivering our Employees benefit commitments from job security Customers benefit from stable supply Delivering Communities benefit greater value for shareholders from jobs and local projects Shareholders reap the rewards ©2014, Rio Tinto, All Rights Reserved
Slide 19: Delivering greater value for shareholders
15 April 2014 For personal use only Delivering greater value for shareholders
Slide 20: Resolutions 1-19
For personal use only Resolutions Resolution 1: Receipt of 2013 Annual report 1 - 19 Resolution 2: Approval of Remuneration Policy Report Resolution 3: Approval of the Directors’ Report on Remuneration Resolution 4: Approval of Remuneration Report Resolution 5: Approval of potential termination bene
Slide 21: Resolutions 20-24
For personal use only Resolutions Resolution 20: General authority to allot shares 20 - 24 Resolution 21: Disapplication of pre-emption rights Resolution 22: Authority to purchase Rio Tinto plc shares Resolution 23: Notice period for general meetings other than annual general meetings Resolution 24:
Slide 22: John Varley, Remuneration Committee chairman
15 April 2014 For personal use only John Varley Remuneration Committee chairman
Slide 23: Resolutions 2-5
For personal use only Resolutions Resolution 2: Approval of Remuneration Policy Report 2-5 - (UK law requirement) Resolution 3: Approval of the Directors’ Report on Remuneration - (UK law requirement) Resolution 4: Approval of full Remuneration Report - (Australian law requirement) Resolution 5: App
Slide 24: Remuneration Committee
For personal use only Remuneration Alignment of interest between shareholders and executives Committee Dialogue with owners influences remuneration policy Spending your remuneration resource wisely Supporting value creation for shareholders Judgements that protect and enhance shareholder interests ©
Slide 25: Questions
15 April 2014 For personal use only Questions
Slide 26: Delivering greater value for shareholders
15 April 2014 For personal use only Delivering greater § value for shareholders